Question
A bond, paying semi-annual coupons of 3% per annum, matures in 9 months time. The interest rate (with semi-annual compounding) for 3 months is 4.80%,
A bond, paying semi-annual coupons of 3% per annum, matures in 9 months time. The interest rate (with semi-annual compounding) for 3 months is 4.80%, while for 9 months, it is 5.80%. What is the dirty price of the bond?
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Options Futures And Other Derivatives
Authors: John C. Hull
8th Edition
0132164949, 9780132164948
